Grayscale Report on Bitcoin Halving: “This Time Will Be Different”
Grayscale, the world's largest digital asset manager, has published a report suggesting that the Bitcoin halving event, which will take place in April 2024, may be fundamentally different from previous events due to Significant on-chain activity and active market structure updates.
According to analysts, new Bitcoin issuance will halve around April 2024.
Despite the potential short-term challenges to miners' revenue, fundamental on-chain activity and aggressive market structure updates could make this halving completely different.
According to the report, these are things to take into account in the upcoming halving, unlike previous halvings.
Faced with falling block reward revenue and high production costs, miners have prepared by raising capital through equity/debt issuance and reserve sales.
Significant fundraising efforts such as Core Scientific's $55 million equity offering, Stronghold's $15 million equity capital raising and $750 million equity capital raising, analysts said of Marathon Digital emphasizes its proactive stance in strengthening reserves.
Collectively, these measures suggest that Bitcoin miners are well positioned to overcome the challenges ahead.
According to Grayscale, even if some miners completely leave the market, a decrease in hashrate could lead to an adjustment in mining difficulty, potentially reducing costs for remaining miners and maintaining balance. network.
